Units of Labor Total Output Product (per day) (dollars) Price 1 15 6 2 30 6 3 40
ID: 1101984 • Letter: U
Question
Units of Labor
Total Output
Product
(per day)
(dollars)
Price
1
15
6
2
30
6
3
40
6
4
48
6
5
54
6
6
59
6
7
62
6
If the market wage rate is $25 per day, how many workers should the firm hire if it wants to maximize profits?
a.
4
b.
5
c.
6
d.
7
____________________________________________________________________________________________
Use the table to answer the following question.
Number of
Marginal Physical
Product
Workers
Product
Price
1
55
5
2
49
5
3
43
5
4
37
5
5
31
5
6
25
5
If the market wage rate is $150 per worker, how many workers should be employed if the firm wants to maximize profit?
a.
3
b.
4
c.
5
d.
6
___________________________________________________________________________________________
The following schedule shows how many jars of Jaynie's Jam can be produced daily with various amounts of labor (assume that the jam is sold in a competitive price-taker market).
Workers per Day
1
2
3
4
5
6
7
8
Total Output per Day
11
23
36
47
56
63
69
74
If Jaynie must pay each worker $65 per day and she can sell her jam for $10 per jar, how many workers should she hire if she wants to maximize profits?
a.
3
b.
4
c.
5
d.
6
Please show step by step solutions for points..thanks!
Units of Labor
Total Output
Product
(per day)
(dollars)
Price
1
15
6
2
30
6
3
40
6
4
48
6
5
54
6
6
59
6
7
62
6
Explanation / Answer
1) 6
2) 5
3) 6
Units of Labor Total Output Product Revenue Cost f labor Profit Choose level with max profit (per day) (dollars) Price 1 15 6 90 25 65 2 30 6 180 50 130 3 40 6 240 75 165 4 48 6 288 100 188 5 54 6 324 125 199 6 59 6 354 150 204 Answer = 6 7 62 6 372 175 197Related Questions
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